Europe's main stock markets climbed and the euro advanced versus the dollar Thursday awaiting the ECB's regular policy meeting.

The European Central bank will drop hints and play for time at its meeting Thursday, analysts predict, saving a big announcement on ending its easy-money policy for October as it strives to balance conflicting pressures.

"The euro has been well bid... ahead of the ECB's interest rate decision and (European Central Bank head) Mario Draghi's press conference, with traders either anticipating taper talk or testing the central bank's resolve as it prepares to further wind down its quantitative easing program," said Oanda senior market analyst Craig Erlam.

Earlier Thursday, Asian stock markets struggled to hold on to initial gains with the North Korea crisis continuing to play on investor confidence despite US President Donald Trump's deal to raise the US debt ceiling.

Markets rallied at the start of the day as the surprise deal between the president and Democrats to lift the US borrowing limit provided some much-needed good news at the end of a turbulent week.

The news raised hopes again for the president's market-friendly economic agenda, including tax reform and infrastructure spending, which have been sidetracked in recent months.

While tensions over Pyongyang's weekend nuclear test have abated there are fears the North is planning to launch another missile this weekend, riling an already furious Unites States.

Trump's insistence to Chinese counterpart Xi Jinping that military action was not his "first choice" and a call for a diplomatic solution provided some solace but fresh provocation could rattle markets again.

On currency markets the dollar lost some of Wednesday's gains against the haven yen, while traders took stock of the surprise resignation of Federal Reserve number two Stanley Fischer, who is considered one of the bank's less dovish members.

Analysts said the announcement could clear the way for  boss Janet Yellen's departure when her term ends next year and allow Trump to determine the focus of the Fed by selecting officials perhaps less likely to raise interest rates or favour stringent bank regulations.

Oil prices extended Wednesday's gains on news that refineries shuttered by Hurricane Harvey in the US Gulf Coast were gradually reopening.

- Key figures around 0945 GMT - 

London - FTSE 100: UP 0.1 percent at 7,364.1 points

Frankfurt - DAX 30: UP 0.6 percent at 12,288

Paris - CAC 40: UP 0.4 percent at 5,119.1

EURO STOXX 50: UP 0.4 percent at 3,446.4

Tokyo - Nikkei 225: UP 0.2 percent at 19,396.52 (close)

Seoul - Kospi: UP 1.1 percent at 2,346.19 (close)

Hong Kong - Hang Seng: DOWN 0.3 percent at 27522.92 (close)

Shanghai - Composite: DOWN 0.6 percent at 3,365.50 (close)

New York - DOW: UP 0.3 percent at 21,807.64 (close)

Euro/dollar: UP at $1.1961 from $1.1919 at 2050 GMT

Pound/dollar: UP at $1.3064 from $1.3045

Dollar/yen: DOWN at 108.92 yen from 109.27 yen

Oil - Brent North Sea: UP 46 cents at $54.66 per barrel

Oil - West Texas Intermediate: UP 10 cents at $49.26